BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1850
                                                                  Page  1

          Date of Hearing:   May 16, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                    AB 1850 (Calderon) - As Amended:  May 1, 2012 

          Policy Committee:                              Natural 
          ResourcesVote:6-1

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              No

           SUMMARY  

          This bill adds a finding by the California Energy Commission 
          (CEC) that an appliance efficiency regulation is no longer 
          needed regarding the conditions that allow CEC to alter the 
          energy efficiency operating requirements within five years of 
          adopting a requirement for a given appliance.  (Current law 
          allows CEC to alter such requirements only if CEC adopts other 
          cost effective measures for the appliance.)  

          The bill also requires CEC, when considering decreasing an 
          appliance energy efficiency standard, to rely on the most 
          current data possible and, wherever feasible, rely on data no 
          older than one year prior to the commencement of the formal 
          rulemaking process.

           FISCAL EFFECT  

          Negligible costs to CEC.

           COMMENTS  

           1)Rationale  .  The author notes the CEC energy efficiency 
            framework has not changed in 30 years and the Legislature 
            needs to ensure the CEC regulatory activity adequately 
            reflects the electronic appliance marketplace and technology.  
            Bill supporters have expressed concern over CEC's announced 
            intention to establish energy efficiency standards for 
            additional product categories, such as game consoles and 
            computers.  

            The bill was a much more ambitious, comprehensive attempt at 
            reforming the CEC energy efficiency program, but the majority 







                                                                  AB 1850
                                                                  Page  2

            of the bill's provisions were removed by the Natural Resources 
            Committee.

           2)Background.   The CEC may regulate standards for minimum levels 
            of efficiency for appliances that use a significant amount of 
            energy or water, as determined by CEC, for which there is no 
            federal minimum standard that would preempt a California 
            standard. New and upgraded standards must be technologically 
            feasible and attainable and must not result in any added total 
            costs to the consumer over the designed life of the appliances 
            concerned. 

           3)Support.   This bill is supported by the Consumer Electronics 
            Association and other manufactures and sellers of electronic 
            appliances.

           4)Opposition  .  This bill is opposed by the American Lung 
            Association and a number of environmental and public health 
            advocates who support CEC's energy efficiency work. 
           Analysis Prepared by  :    Jay Dickenson / APPR. / (916) 319-2081